Radio frequency ID technology: The next revolution in SCM
A major advancement is taking place in supply chain management. Radio frequency identification technology has now been developed to the point at which it can provide suppliers, manufacturers, distributors, and retailers with precise realtime information on where their products are in the supply chain—information that can be valuable in terms of improving SCM efficiencies and revenue generation. Several companies in the food and consumer packaged goods industries are involved in one or more major RFID pilot programs. This article describes the critical trends and implications of applying this technology to SCM, detailing its benefits as well as the impediments to implementation.